Energy service companies (ESCOs) ESCOs for increasing energy efficiency

Österreichische Energieagentur - Austrian Energy Agency Gabriele Brandl| 05.10.2017 Austrian Energy Agency A link between business, administration and politics

• Founded as a non-profit association in 1977 • Today: 85 employees| EUR 8,5 Mio. turnover • Expertise and networking for politics, administration and business

President Vice President Vice President Chairman of the Conference of of Environment Minister for Economics Provincial Governors Andrä Rupprechter Harald Mahrer

Markus Wallner (2. sem. 2017)

Source: Land Land Source:

Source: BMLFUW Source: BMWFW Source:

2 MAIN WORKING AREAS

Energy Renewable Innovative Efficiency Energy Sources Energy technologies

Innovative Security of Mobility energy supply

3 Initial situation in companies & for building owners

The existing energy efficiency potentials are existing, but: • No financial resources for high investments • Lack of personal resources and know-how • Uncertainty about the real energy saving

Energy Service Provider can support!

4 Definition of ESCOs

Energy Service Provider means a natural or legal person who delivers energy services or other energy efficiency improvement measures in a final customer’s facility or premises Energy Efficiency Directive EED 2012/27/EU, Article 2 (24)

e.g. contracting, energy consultancy, energy audits

5 Best Practise in AT: Awareness Raising

A list of providers has been published: http://www.contracting-portal.at/show.php?nid=0&mid=21&srchCont=srch • Energy supply companies • Component manufacturers • Plumbers – and/or cooperation of SMEs! • Operating companies • Control technology companies • Building service providers • etc.

6 Contracting – legal basis

= signing a contract between an ESCO (Energy Service Company) and a client • Energy Supply Contracting • Investments to provide energy (e.g. new biomass boiler for room heating) • Refinancing by billing for the consumed energy • Energy Performance Contracting (EPC) • Measures to save energy • Refinancing by saved energy costs • transfer of technical risks from client to ESCO

7 Energy Supply Contracting

Building owner‘s annual costs Total costs contracting Baseline – actual costs Total costs (old): Energy rate (acc. to consumption):  Fuel  Consumption bound costs  Electricity  price adjustment Maintenance Fixed rate: Reinvestment  Investment and funding Personell costs  Price adjustment (salary, maintenance) Miscellaneous  Risks, Operation-bound costs Time Actual state Investment End of contract Energy supply contract

8 Advantages of contracting for the client

• Professional planning, maintenance, energy saving measures • Savings and quality guarantee • Outsourcing of operational risks • „No“ capital investment • Wide range of building services • Focusing on core competencies • Efficient communication • Energy efficiency, eco-friendliness, sustainability, role model function

9 Barriers

• Lack of motivation – Lack of interest for energy savings – Investor-user problem (owner has not to pay for energy supply costs) – Staff cuts (e.g. facility management, outsourcing) • Lack of information – Technical, economic know-how – Effects on operation procedures – Know-how of grants and consultancy possibilities

10 Barriers

• Financial barriers • Limited financial means • In many cases: long payback times • Trend of energy prices (forecast, consideration in the contract) • Lack of commitment • Commitment of the building-user is essential for the success of the project!

11 Best practise in : Large contracting initiative of the federal government (1/2)

• provided by a co-operation group consisting of Federal Ministry for Science, Research and Business (BMWFW) and the Federal Real Estate Agency (BIG- Bundesimmobiliengesellschaft) • BIG is responsible for the management of Federal Buildings: federal schools and government buildings (ministries) as well as office areas (public buildings and court buildings) to optimize public utility properties using energy-saving contracting to enable energy-saving measures • In so-called „tendering pools“, several buildings are combined into one contracting project

12 Best practise in Austria: Large contracting initiative of the federal government (2/2)

• ALREADY: Contracting for appr. 320 federal buildings • Thermal refurbishment financed and performed by the Federal Buildings Association, other energy savings measures via contracting (since 2001) • Performance and plant contracting, contract duration 7 – 15 years • http://www.big.at/projekte/projektdatenbank/ • Effects: – ¼ of all refurbishment investments for energy related refurbishment measures – Reduction of energy costs 35 Mio. €

– Reduction of CO2-emissions by 130,000 tons per year

13 Best practise: „Transparense project“ - to increase transparency of EPC (1/2)

http://transparense.eu/eu/home/welcome-to- transparense-project

14 Best practise: „Transparense project“ - to increase transparency of EPC (2/2)

• to increase the transparency and trustworthiness of Energy Performance Contracting (EPC) markets throughout Europe • Established a Code of Conduct for the implementation of EPC projects and its 20 national modifications in the participating countries • defines the fundamental principles for EPC projects preparation and implementation - as a guarantee of the quality of EPC projects • In Austria: a new label is under preparation! • To ensure the quality of the process and the documents! And to help getting high quality loans from the bank

15 Contact person

Brandl GabrieleDI Senior Expert

Österreichische Energieagentur - Austrian Energy Agency — Mariahilfer Strasse 136 | 1150 Wien| Österreich| www.energyagency.at

Best practise: GREEN INFRASTRUCTURE at MA 48 - PUBLIC BUILDING | Einsiedlergasse 2, 1050

• Contracting together with IÖB – use new technologies! BIG Building! (Vienna has a UHI Strategy!) • Building is equipped with a green façade on the street side. • 2,850 meters of aluminium trays were installed on 850 m2 façade – with 17,000 plants • great potential for dust filtration and air improvement, rain and wind protection as well as a positive influence on the sound and heat

insulation. www.green4cities.com 17 •

Microclimate - GREEN INFRASTRUCTURE at MA 48 - PUBLIC BUILDING | Einsiedlergasse 2, 1050 Vienna

• It was completed in 2009, and since then, a monitoring program on the vertical wall has been running. • This research provides information about impacts on building physics and microclimatic performance of the façade, water consumption, transpiration and the overall development of the vegetation layers over time.

www.green4cities.com

18 EXAMPLE Renovation: Vienna University of Technology – Austria’s largest energy surplus office building (1/3)

These Austrian Technology is now exported to China!

Optimization by „counting beans“

19 EXAMPLE Renovation: Vienna University of Technology – Austria’s largest energy surplus office building (2/3)

Comprehensive thermal renovation to Passive House standard

• largest building- integrated photovoltaic facility • Green IT (servers, laptops / PCs, network) • Optimized lighting

20 EXAMPLE Renovation: Vienna University of Technology – Austria’s largest energy surplus office building (3/3)

• Core airing at night with individual rooms coupled • Ultra-efficient building services components with low electricity consumption in standby and operating mode were employed • Extreme optimization of all office and kitchen appliances • Smart electricity grid ensures negligible standby power consumption • Temperature adjustment within the rooms through ultra-efficient thermo- active building systems • Ultra-efficient ventilation facility with optimal heat and moisture recovery

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